The Term Constant Returns to Scale Refers To

question 35

Multiple Choice

The term constant returns to scale refers to:

• A)none of the below
• B)a situation where increasing all inputs by a multiple results in no change in the output
• C)a situation where increasing all inputs by a multiple results in the output being increased by more than that multiple
• D)a situation where increasing all inputs by a multiple results in the output being increased by the same multiple

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Definitions:

Standard Error

A statistical measure that describes the distribution of sample means around the population mean, indicating the accuracy of a sample mean as an estimate of the population mean.

Confidence Interval

A range of values, derived from sample statistics, that likely contains the true value of an unknown population parameter.

Standard Error

The standard deviation of the sample distribution of a statistic, often used in the context of mean.

Mean

The central or typical value in a distribution, calculated as the sum of all observations divided by the number of observations.